Assessment of the political climate in the invested country is usually conducted with the grand tour approach, old hands approach or a Delphi technique. However, the political risk to the investing company is often non-existent or small, that a costly analysis becomes unnecessary

The valuation undertaken by AV CAPITAL of IPT dated 12 September 2012, as commissioned by the Annica Holdings and prepared by AV CAPITAL. Based on AV Capital’s analysis and findings as set out in the report, AV CAPITAL is of the opinion that the fair market value of Industrial Power for a 100% shareholding stake is in the range of S$12.67 million to $18.39 million as computed under the discounted cashflow method.